China’s AI industry to exceed US$140 billion in 2025 on rapid technology and policy-driven growth

China’s core artificial intelligence (AI) industry is forecast to surpass US$140 billion in 2025, marking a milestone in the country’s technology landscape. This is reported by Global Times, a partner of TV BRICS.

One of the key factors behind this expansion is the increasing use of large-language AI models in manufacturing and other industrial applications. The share of AI adoption in the manufacturing sector has risen from around 19.9 per cent in 2024 to nearly 25.9 per cent in 2025, helping drive overall industry growth.

Beyond traditional sectors, emerging applications in smart wearables and next-generation robotics are boosting both innovation and consumer demand. In the first ten months of 2025, online sales of AI-enabled smart devices – from smart watches to advanced sensory equipment – rose by more than 23 per cent, illustrating the technology’s growing impact on daily life.

Technological advancement continues apace, with pre-trained large-language models extending AI capabilities from analysis and pattern recognition to generative and general-purpose functions. According to the Chinese Academy of Cyberspace Studies, China now holds around 60 per cent of global AI patents, underlining its leading role in AI research.

Domestic development of AI chips has also gained momentum, with Chinese processors accounting for over half of data centre use in late 2024. This shift reduces dependency on imported hardware and strengthens the local technology ecosystem.

China’s “AI Plus” initiative, unveiled by the State Council, aims to integrate artificial intelligence deeply across six core sectors by 2027, while broadening public access to AI technologies. By 2030, the intelligent economy is expected to be a major driver of high-quality economic growth, enhancing productivity and competitiveness.

China has also championed international collaboration in AI development, proposing the establishment of a World Artificial Intelligence Cooperation Organisation to facilitate shared research, standard setting and global partnerships.

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